When must firms report to FINRA upon receiving a written customer complaint?

When must firms report to FINRA upon receiving a written customer complaint?

• A. Within 5 business days
• B. No later than 10 business days
• C. Within 15 business days
• D. Only if it involves more than one complaint

Answer: (B)

Firms are required to report to FINRA no later than 10 business days upon receiving a written customer complaint. This requirement is established to ensure timely reporting and to allow FINRA to monitor firms for potential issues related to customer grievances. The prompt reporting helps maintain the integrity of the securities industry by enabling regulators to identify and address patterns of misconduct or compliance failures. Adhering to this timeline is crucial for firms, as it reflects their commitment to customer service and regulatory transparency. By requiring the report within this specific timeframe, FINRA aims to protect investors and ensure that firms address customer complaints appropriately.

Firms are required to report to FINRA no later than 10 business days upon receiving a written customer complaint. This requirement is established to ensure timely reporting and to allow FINRA to monitor firms for potential issues related to customer grievances. The prompt reporting helps maintain the integrity of the securities industry by enabling regulators to identify and address patterns of misconduct or compliance failures.

Adhering to this timeline is crucial for firms, as it reflects their commitment to customer service and regulatory transparency. By requiring the report within this specific timeframe, FINRA aims to protect investors and ensure that firms address customer complaints appropriately.